be WileyPLUS 8 https://edugen.wileyplus.com/edugen/lti/main.uni Return to Blackboard US Jeter, Advanced Accounting, 6e Help | System Announcements CALCULA Problem 4-3 Perkins Company acquired 100% of Schultz Company on January 1, 2012, for $160,800. On December 31, 2012, the companies prepared the following trial balances: Perkins Schultz Cash $23,700 $31,100 Inventory 106,300 101,300 Investment in Schultz Company 223,900 -0- Land 109,800 92,700 Cost of Goods Sold 222,700 58,000 Other Expense 39,500 41,600 Dividends Declared 14,500 9,900 $740,400 Total Debits $334,600 Accounts Payable $73,600 $16,800 74,700 155,900 Common Stock 18,100 34,600 Other Contributed Capital 52,400 26,200 Retained Earnings, 1/1 172,600 377,100 Sales -0- 73,000 Equity in Subsidiary Income $334,600 $740,400 Total Credits (b) Prepare a workpaper for the preparation of consolidated financial statements on December 31, 2012. Any difference between the book value of equity acquired and the value implied by the goodwill. (List items that increase retained earnings first.) Perkins Company and Subsidiary Consolidated Statements Workpaper For the Year Ended December 31, 2012 Consolt Eliminating Entries Schultz Perkins Cr. Dr. Company Company 549700 Income Statement 172600 377100 Sales 14500

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ISBN:9781285190907
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be
WileyPLUS
8 https://edugen.wileyplus.com/edugen/lti/main.uni
Return to Blackboard
US
Jeter, Advanced Accounting, 6e
Help | System Announcements
CALCULA
Problem 4-3
Perkins Company acquired 100% of Schultz Company on January 1, 2012, for $160,800. On December 31, 2012, the companies prepared the following trial balances:
Perkins
Schultz
Cash
$23,700
$31,100
Inventory
106,300
101,300
Investment in Schultz Company
223,900
-0-
Land
109,800
92,700
Cost of Goods Sold
222,700
58,000
Other Expense
39,500
41,600
Dividends Declared
14,500
9,900
$740,400
Total Debits
$334,600
Accounts Payable
$73,600
$16,800
74,700
155,900
Common Stock
18,100
34,600
Other Contributed Capital
52,400
26,200
Retained Earnings, 1/1
172,600
377,100
Sales
-0-
73,000
Equity in Subsidiary Income
$334,600
$740,400
Total Credits
(b) Prepare a workpaper for the preparation of consolidated financial statements on December 31, 2012. Any difference between the book value of equity acquired and the value implied by the
goodwill. (List items that increase retained earnings first.)
Perkins Company and Subsidiary
Consolidated Statements Workpaper
For the Year Ended December 31, 2012
Consolt
Eliminating Entries
Schultz
Perkins
Cr.
Dr.
Company
Company
549700
Income Statement
172600
377100
Sales
14500
Transcribed Image Text:be WileyPLUS 8 https://edugen.wileyplus.com/edugen/lti/main.uni Return to Blackboard US Jeter, Advanced Accounting, 6e Help | System Announcements CALCULA Problem 4-3 Perkins Company acquired 100% of Schultz Company on January 1, 2012, for $160,800. On December 31, 2012, the companies prepared the following trial balances: Perkins Schultz Cash $23,700 $31,100 Inventory 106,300 101,300 Investment in Schultz Company 223,900 -0- Land 109,800 92,700 Cost of Goods Sold 222,700 58,000 Other Expense 39,500 41,600 Dividends Declared 14,500 9,900 $740,400 Total Debits $334,600 Accounts Payable $73,600 $16,800 74,700 155,900 Common Stock 18,100 34,600 Other Contributed Capital 52,400 26,200 Retained Earnings, 1/1 172,600 377,100 Sales -0- 73,000 Equity in Subsidiary Income $334,600 $740,400 Total Credits (b) Prepare a workpaper for the preparation of consolidated financial statements on December 31, 2012. Any difference between the book value of equity acquired and the value implied by the goodwill. (List items that increase retained earnings first.) Perkins Company and Subsidiary Consolidated Statements Workpaper For the Year Ended December 31, 2012 Consolt Eliminating Entries Schultz Perkins Cr. Dr. Company Company 549700 Income Statement 172600 377100 Sales 14500
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